Nonprofit organizations (NPOs) are cheering the recent revision of the Financial Action Task Force’s (FATF) Recommendation 8 (R8), removing the term “particularly vulnerable” to describe NPOs and has long hampered their legitimate and essential work around the world.
At its Plenary in South Korea June 22-24, FATF changed R8, relating to laws on nonprofits, to acknowledge that not all NPOs are at risk of terrorist abuse and directs countries to undertake a risk-based approach when considering counter-terrorism financing measures. In addition, changes to the accompanying Interpretive Note, along with the June 2015 Best Practices Paper, will assist countries in taking a more proportional approach towards the sector. More than 180 jurisdictions worldwide are committed to the implementation of R8.
Read the press release here.